How much should I set aside for repairs and maintenance on my the USA property?

11th November, 2014
  • As a landlord, you are responsible for making sure essential repairs are completed as soon as possible to ensure your tenants' safety and quality of living. It's therefore extremely important to consider the state of the property and to factor in the potential cost of maintenance before closing on the deal.

    Most property investors will have an independent survey carried out on the home prior to finalising the purchase. This will usually flag up any issues with the property that will need addressing in the future and it is always advisable to leave room in your budget to for these.

    In a perfect world you will have the root cause of any ongoing repair and maintenance issues identified and attended to before you begin renting out the property. Faulty plumbing and electrics, dampness, termites and problems with the roof are among the most common issues that landlords find themselves faced with. It pays to have these inspected for any potential glitches as early as possible. 

    There is no set figure on how much your contingency should be for maintenance and repairs. An older property will naturally be more likely to develop problems sooner than a new property. The advantage of owning a condo property rather than a single family home is that the cost of addressing any problems affecting the building will automatically come out of your monthly homeowners association fees. These include structural issues affecting the roof or outer walls of the building or problems with the plumbing, for example. 

    Furniture is another costing which must be factored in if the house is being rented on a furnished basis. This should be replaced every 2-3 years but it may need replacing sooner if it suffers heavy wear and tear. 

    We would suggest leaving your rental income to build up in your US account for a period of a few months before transfer the funds over to your home account. This will leave you with a handy pot of money there for a rainy day. 


    by: Prime Asset Investments

Comments (0)

Recent Q&A

Featured Posts

  • product HOUSING MARKET CONTINUES GRADUAL CLIMB BACK TO NORMAL IN USA

    According to the NAHB/First American Leading Markets Index, markets in 146 of the approximately 340 metro U.S. areas nationwide returned to or exceeded their last normal levels of economic and housing activity in the second quarter of 2016. This represents a year-over-year net gain of 66 markets.

    9th August, 2016
  • product ZIKA VIRUS MAY AFFECT PROPERTY VALUES IN PARTS OF MIAMI

    Miami's trendy Wynwood neighborhood, which experienced a huge boom in property values over recent years, now faces a tremendous amount of fear and uncertainty as a result of the arrival of the mosquito-borne Zika virus says Barry Sharpe, who heads Miami-based Property Tax Appeal Group.

    9th August, 2016
  • product NEW HOME SALES IN U.S. REACH HIGHEST LEVELS SINCE 2008 MARKET CRASH

    According to the U.S. Department of Housing and Urban Development and the U.S. Census Bureau, sales of newly built, single-family homes in the U.S. rose 3.5 percent in June 2016 from an upwardly revised May 2016 reading to a seasonally adjusted annual rate of 592,000 units. New home sales are up 9.3 percent in the second quarter of 2016 from the first quarter.

    28th July, 2016